[Tues]: The Hightower Report says. “The market still
feels a little bit too cheap.” The market has recovered from the oversold
position bringing lows Sept. 9 but will need to see positive developments in
the cash market to cheap moving up…[Mon]: Boxed beef cutout
values this afternoon were weak to lower… Choice fell 26 cents… Select went
down $2.03… In negotiated cash sales in Iowa/Minnesota, the USDA reported 40
head sold dressed at $160, with no live sales. In Nebraska, no negotiated cash
sales were reported… Cash has been flat overall, Oliver Sloup of Blue Line
Futures said. “Monday we were looking at 96-97 and it worked its way back to
99-101, and that was positive,” Sloup said. The market is back at some
resistance after a slight rally, and might be at a roadblock for a range unless
cash can break out, he said…

Farm Commodity Newsletter/Iowa Farmer Today

Tue 9/17/2019 9:13 AM

Cattle - Dressed beef values were lower with choice
down 0.26 and select down 2.03. The CME feeder index is 136.09. Pork cut-out
values were up 0.45, Allendale says.

The Hightower Report says. “The market still feels a little
bit too cheap.” The market has recovered from the oversold position bringing
lows Sept. 9 but will need to see positive developments in the cash market to
cheap moving up.

Swine disease hits Korea

The first case of African swine fever was confirmed near the
South Korean border with North Korea with 4,000 pigs culled, says The Hightower
report.

“China will auction of pork from its reserves this week to
help fight skyrocketing pork prices”, says Joe Lardy, CHS Hedging.

As for cattle, The Hightower report says that cheap corn and
cheap feeder cattle could spark active placements in the months just ahead.

In negotiated cash sales in Iowa/Minnesota, the USDA reported
40 head sold dressed at $160, with no live sales. In Nebraska, no negotiated
cash sales were reported.

Stewart-Peterson worried that “cheap corn and cheap feeder
cattle could encourage active placements in the coming months, but at the
moment, cattle markets look cheap.”

Cash has been flat overall, Oliver Sloup of Blue Line
Futures said. “Monday we were looking at 96-97 and it worked its way back to
99-101, and that was positive,” Sloup said. The market is back at some
resistance after a slight rally, and might be at a roadblock for a range unless
cash can break out, he said.

Meanwhile, the lean hog market fell sharply in the October
contract as there are “ideas the market is overbought,” The Hightower Report
said.

Crop progress report out

Today’s Crop Progress Report showed corn condition unchanged
from last week, reported at 55% Good/Excellent. Soybeans saw a one point
downgrade to 54% G/E, from 55% last week.

This morning, Mike Zuzolo of Global Commodity Analytics said
reports that President Trump was invited by North Korea to Pyongyang may be a
sign of progress of a trade deal with China. “We need to have North Korea and
to a lesser degree Hong Kong/Taiwan issues improving in terms of foreign
policy—as I continue to think that the President’s foreign and trade policies
are tied-together if not one in the same,” he said.

Corn

Oliver Sloup said if the corn market can achieve consecutive
closes up, he anticipates some short-covering for the December contract. With
funds short, positive momentum may bring that rally, he said.

“Continue to price corn on rallies,” John Payne of Daniel’s
Trading said. “If you are waiting for the "green light" to sell
product, you will get it only when yield is more certain.”

Soybeans

“I am getting the feeling the market is somewhat leery of
the yields coming worse than expected,” John Payne of Daniel’s Trading said.
“Short covering is a theme as delivery is in the rear view, end users are stuck
in a spot between crop years. Last year, the crop was ready to be harvested in
a lot of the corn belt at this time.”

“The soybean market traded both sides with strength coming
from the crude oil and soyoil oil markets,” Ami L. Heesch of CHS Hedging said.
“Prices drew additional support from this morning’s soybean sale to China, with
thoughts of easing tensions between the US and China. Pressure stemmed from
lack of demand and improving weather conditions.”

Wheat

Short covering moved up the wheat market today, Ami L.
Heesch of CHS Hedging said. There are also added concerns about the product
coming out of Australia and Argentina due to dryness, which is adding to the
support.

Heesch added that the northern plains is expected to see
some warm and dry weather across the area, which should allow the continuation
of spring wheat harvest, as “very little was done last week.”